MSCI has implemented a new screening methodology that could remove companies holding primarily non-operating assets from its Global Investable Market Indexes, affecting Strategy, which holds 848,250 BTC as of October 11.
On October 15, MSCI published the results of its consultation on non-operating companies—firms that primarily accumulate and hold assets rather than operate a business. These companies will no longer be eligible for inclusion in the MSCI Global Investable Market Indexes (GIMI), which track trillions of dollars in passive investments.
How the Screening Works
The exclusion rule applies a two-stage test. Companies first face a core assessment of whether operating assets comprise more than half their balance sheet. Those that fail move to five financial ratio tests covering operating asset intensity, expense intensity, cash flow, fair value intensity, and capital dependence. Failing four of the five ratios renders a company ineligible.
Timeline and Final Determinations
MSCI will publish its final list of affected constituents on November 11, with the new rules taking effect after the close on November 30. A simulation conducted on May 2026 data flagged Strategy, Metaplanet, and uranium holder Yellow Cake for potential deletion from the MSCI ACWX Investable Market Index.
Existing index members generally must fail the screening in two consecutive annual assessments before removal, providing a buffer for companies initially flagged. Ethereum treasury firm Sharplink was placed on a watchlist rather than a deletion list.
Potential Market Impact
JPMorgan analysts estimate that Strategy's removal could trigger approximately $2.8 billion in passive outflows from the company's stock, with larger effects possible if other index providers adopt similar methodologies. Index funds typically rebalance without discretion when methodology changes force constituent removals.
Strategy reported holding 848,250 BTC purchased for $64 billion at an average of $75,444 per coin as of October 11.
